2. Financial and administrative arrangements

2.3 Income and contributions

The income of the Organisation consists of obligatory contributions, voluntary contributions and miscellaneous receipts.

2.3.1 Contributions of member States

Obligatory contributions

In accordance with Article 38b of the Statute,[201] member states’ contributions to the budgets are determined in accordance with Resolution Res(94)31 on the method of calculating the scales of member states' contributions to Council Budgets.

Payment of contributions/unpaid contributions

Article 39 of the Statute provides that the SG shall each year notify the government of each member of the amount of its contribution, and each member shall pay to the SG the amount of its contribution, which shall be deemed to be due on the date of its notification, not later than six months after that date.

The Financial Regulations set out practical modalities for payment of contributions in application of Article 39 of the Statute.[202] In particular, they stipulate that each member state shall pay at least one third of its obligatory contributions in the course of the first two months of the year and the balance by the end of the period of six months referred to in Article 39 of the Statute (in general, by the end of June).

Member States that have not paid their entire contribution before the end of the period of six months are required to pay simple monthly interest of 0.5% on amounts remaining unpaid on the first day of each of the following six months, and 1% on amounts remaining unpaid on the first day of each month thereafter.

The CM is informed of the situation regarding unpaid contributions on a regular basis.

The CM has agreed that, apart from exceptional circumstances having prevented a member State from fulfilling its obligation, Article 9 of the Statute[203] will be applied to any state which has failed to fulfil all or a substantial part of its financial obligation for a period of two years.[204]